ENCINITAS, CA - San Diego-based Tower 16 Capital Partners, in partnership with Drake Real Estate Partners, has acquired La Mirada Apartments, a 201-unit multifamily project in Tucson, Ariz. The property was acquired from a private seller in an off-market transaction.
“We are excited to announce our second acquisition in the Tucson market,” said Tower 16 Co-Founder Mike Farley. “We believe that the demand drivers for multifamily housing in Tucson will continue to grow in the coming years, and we are excited to be part of that growth story.”
Since its founding in 2017, Tower 16 has made similar moves into markets throughout the West, having acquired close to 4,000 units in California, Las Vegas, Phoenix, Tucson and Denver. The company seeks markets with increasing demand for workforce housing driven by job growth and in-migration but with relatively low levels of new supply. According to company executives, Tower 16 intends to build a portfolio of over 1,000 units in the Tucson market over the next several years.
La Mirada Apartments is located at 4415 East Grant Road in Tucson, Ariz. The property is just minutes away from the I-10 freeway and only ten minutes from Downtown Tucson and the University of Arizona campus. The community consists of large two- and three-bedroom apartments with a clubhouse and two swimming pools. Tower 16 will be overseeing over $4 million in upgrades and renovations to the property including modernized unit upgrades, a new clubhouse, gym and updated pool areas. The company will also be adding outdoor amenities including barbeques, seating and outdoor gaming areas.
“We plan on making numerous upgrades to the property that will greatly enhance the tenant experience at La Mirada,” said Tower 16 Co-Founder Tyler Pruett. “It gives us great satisfaction to watch the transformation of the property and the surrounding neighborhood through our efforts. We look forward to starting our work as soon as possible.”
Tower 16 partnered with Drake Real Estate Partners in the acquisition of La Mirada, the second venture in a programmatic relationship between the two firms.
About Tower 16 Capital Partners LLC: Tower 16 Capital Partners, LLC is a commercial real estate investment and management company focused on acquiring and managing value-add investments throughout the Western United States. Headquartered in Encinitas, Calif., Tower 16 was founded by principals Mike Farley and Tyler Pruett who have over 40 years of combined institutional real estate experience with an emphasis on value-add investing. The Company currently has a growing multifamily portfolio consisting of over $425 million of assets under management.
About Drake Real Estate Partners: Founded in 2012, Drake Real Estate Partners is a real estate investment and asset management firm based in New York City. Drake seeks to invest in high quality, income-producing real estate assets at a significant discount to replacement cost, and drives value by focusing on repositioning, leasing, and improving operations. Drake uses the flexible, long term nature of its capital to its advantage by seeking out opportunities that have been overlooked by other investors. Drake has completed over $1.5 billion in transactions to date and has invested across a variety of geographies and property types, including multifamily, industrial, office (including medical office and creative office), self-storage, senior housing, retail and hospitality. To further impact the local communities in which Drake invests, the firm has partnered with 1% for the Planet, a conservation-focused nonprofit whose mission and values are consistent with those of Drake's founders. Drake donates 1% of the firm's annual revenues to nonprofit conservation-related initiatives in the markets in which it invests. For more information on Drake Real Estate Partners, visit drakerep.com.